Should Your Manufacturing Company Add Automated Workforce Management?
Manufacturing has come a long way since the days of Taylorism and the ideas of the supply chain from Henry Ford. 90% of manufacturing companies have applied the ideas of lean manufacturing to their production process, and it’s only a matter of time until the last 10% finally jump on board. With this major evolutionary change in the manufacturing workforce over the past half-century, companies have opened up to the mindset of continual improvement for their workforce.
This continual improvement has led to creating efficiencies, doing more with fewer resources, and eliminating waste throughout the entire manufacturing process. One of the major wastes that is still around, however, is the amount of time companies spend managing the time and attendance of the workforce. For these companies, we wanted to list 4 benefits of implementing an automated workforce management solution.
1. Quantitative Workforce Data
Lean manufacturing processes that allow for the worker’s feedback to play a role in the decision-making process have fundamentally changed the industry. But there is another factor that some companies are missing out on, and that is the quantitative data. The information about the workforce that goes beyond qualitative feedback from workers. An automated workforce management solution can give you quantitative workforce data that will help you make even better decisions for your company.
2. More Accurate Planning and Scheduling
Armed with data showing productivity levels as well as compensation for certain members of the workforce, managers can more accurately plan and budget for their daily work schedules as well as larger projects. By knowing which employees you have on schedule, their hourly rate and their history of productivity, you’ll be able to put together the proper staffing mix to get the job done efficiently and effectively.
3. More Control Over the Most Controllable Business Cost
Labor is the most controllable cost in any business. An automated workforce management solution can help you gain even more control over it by reducing costly time, attendance, and payroll errors. It can also help you prevent time theft through practices like “buddy punching” which can account for up to 6 weeks of stolen labor cost per year. The manual processing of employee timecards also wastes a lot of time, taking an average of 5 minutes of administrative time per card, which accounts for a loss of more than 8 hours of productive time per pay period for an organization with 100 employees.
4. Awareness Leading to Continual Improvement
One of the greatest elements of lean manufacturing is that it makes management more aware of what is taking place on the floor. How employees are dealing with things, where they see improvements, etc. An automated workforce management system ultimately takes this awareness to the next level. By giving you up-to-date and relevant statistics on your workforce’s cost and productivity, you will have a much better idea of what is happening with your most controllable expense. This will allow you to try new tactics, accurately track improvements and measure the results of changes.